If you’ve recently been dismissed from your job, you might be questioning whether your case falls under unfair dismissal or wrongful dismissal. The terms are often used interchangeably, but in UK employment law, they have very different meanings. Understanding the difference is essential if you’re considering bringing a claim against your employer.
In this blog, we’ll explain the differences between the two and what you need to know about bringing a claim.
Table of Contents
What Is Unfair Dismissal?
Unfair dismissal is where your employer has either sacked you without a fair reason or has failed to follow a fair procedure. The Employment Rights Act 1996 sets out the only fair reasons for dismissal, which include:
However, even if one of the above reasons is present, your employer is still expected to act reasonably, which would typically involve investigations, meetings, and an opportunity for you to respond before a decision is made.
Who Can Claim Unfair Dismissal?
The basic rule for bringing an unfair dismissal claim is that you need at least two years’ continuous service. However, there are exceptions to the rule, which make a dismissal automatically unfair, and therefore, the two years’ service does not apply. These are: dismissal for whistleblowing, pregnancy, health and safety reasons or for asserting your statutory rights.
What Is Wrongful Dismissal?
Wrongful dismissal is not about whether your employer acted fairly. It only covers situations where your employer has breached the terms of your contract when dismissing you.
The most common example of wrongful dismissal is where an employer fails to give you the appropriate notice (or payment instead of notice) that you are entitled to under your contract or by law. It can also happen if your employer does not follow a contractual disciplinary procedure or terminates a fixed-term contract early without a legal basis.
Unlike unfair dismissal, you don’t need two years’ service to make a wrongful dismissal claim.It can be relevant from the first day of your employment if your employer has broken your contract.
Wrongful or Unfair Dismissal? What’s the difference?
The main difference is this:
Because they cover different issues, it’s possible to bring both claims if your dismissal was both unfair in law and in breach of contract.
Compensation for Each Type of Claim
If you succeed in an unfair dismissal case at an Employment Tribunal, you can get:
In a wrongful dismissal claim, the compensation is usually limited to the amount of your notice period and any contractual benefits you would have received during that time.
Should I Contact an Employment Law Solicitor?
Employment law solicitors deal with legal issues that arise in the workplace. These issues can include disputes over wages, unfair dismissal, discrimination, and more. If you are having problems with your employer, or believe that you have been treated unfairly, an employment law solicitor may be able to help. They can provide advice and representation to employees, employers, and businesses of all sizes. If you are an employee and have been dismissed, you may be wondering whether you should contact an employment law solicitor. An experienced employment law solicitor can help by:
With the right advice you have a much better chance of a fair outcome.
How Employers Can Reduce the Risk of Claims
If you are an employer, you can reduce the risk of dismissal claims by:
Both unfair dismissal and wrongful dismissal are serious issues in UK employment law, but they are not the same. Unfair dismissal is about whether your employer had a valid reason and acted fairly. Wrongful dismissal is about whether your contract was breached.
If you have been dismissed and think it was unfair or wrongful, a specialist employment law solicitor will be able to advise on your rights and next steps.
